As businesses in retail and supply chain grapple with various modern-age challenges in day-to-day business operations, technology-based innovative solutions become crucial to move forward. In this blog, we’ll talk about what RFID technology is, and what are the important components that facilitate communication and allow for wireless, automatic identification and tracking of RFID-tagged objects, animals, assets, etc.
What is RFID?
RFID is short for Radio Frequency Identification (RFID) and refers to wireless communication between an RFID tag and an RFID reader using radio waves. RFID is a prominent AIDC technology that doesn’t require a clear line of sight, unlike barcoding, to interrogate the encoded data in an RFID tag, using an RFID reader.
To understand RFID, we must understand the electromagnetic spectrum first. Radio waves are a part of the electromagnetic spectrum, from extremely low frequency of 3Hz to very high frequency of 30MHz. To explain further, a 3Hz frequency wave will mean extremely low energy but an extremely high wavelength of 100Mm or 100000Km and a very high frequency of 30MHz will mean higher energy and a wavelength of 10m, you can say a shorter wave!
The RFID technology utilizes radio frequency signals in the low frequency (125-134 KHz), High frequency (13.56 MHz), and ultra-high frequency (860-960 MHz) range.
The UHF RFID stands for ultra high-frequency RFID and uses a frequency range over 300MHz to 3GHz which comes in microwave range on the spectrum. As the name suggests, it is a shorter wave but high in energy. However, as per EPCglobal Gen2 V2 and ISO 18000-6C, UHF RFID communication protocols globally, UHF RFID works within the frequency range of 860 MHz-960 MHz in the ISM band.
How does RFID Technology Work?
The working of RFID technology is pretty easy to understand since it is based on radio frequency communication as in the case of Wi-Fi, and Bluetooth technology.
When an asset is tagged with an RFID tag, let’s say a UHF passive RFID tag and an RFID Reader in the tag vicinity sends an interrogating signal, the tag antenna receives the reader signal and powers up the tag. The tag then sends the encoded message to the RFID reader which is decoded by the RFID reader and sent to a screen for end users. This process - the reader activating the tag, the tag transmitting data, and the reader receiving and decoding it - is the core of how RFID tracking works.
So basically an RFID reader and RFID tag transmit and receive RFID signals, with the help of an antenna to communicate.
For efficient RFID communication, there must not be interference from the metal or liquid environment or reader-reader collision issues. Now that we know how RFID technology works, let’s have a detailed look at distinct RFID components.
RFID Components Explained: RFID Tags, RFID Readers, and RFID Antennas
As I mentioned before, RFID technology leverages several crucial RFID components to function. These are an RFID tag, an RFID reader, and an RFID antenna. An RFID Computer software solution is also required for data processing for the end users.
Let’s understand these components in detail:
What are RFID Tags?
An RFID tag is a small electronic device comprising an RFID chip (IC) and antenna. The RFID chip and the antenna are housed together where the chip is used to store information and the antenna is used to transmit and receive information and communicate with the RFID reader.
There are different types of RFID tags available in the market and we’ll discuss that later in this blog.
What are RFID scanners/readers?
RFID Scanners or RFID Readers are devices that can interrogate an RFID tag attached to an asset by transmitting an interrogation signal which is captured by an RFID tag in the vicinity.
The reader then reads the RF signals coming from the RFID tag, through an antenna, and sends the decoded message on a screen. It could be a computer screen or the RFID scanner/reader screen itself as some scanners/readers come with screen and storing capabilities.
It’s worth noting that you should always go with higher frequency scanners/readers or a scanner/reader that matches the frequency range of tags you’re using for obvious reasons.
Readers also come in various categories suitable for various uses. There are Handheld RFID readers, Fixed RFID readers, USB RFID readers, Integrated RFID Readers, etc.
What are RFID antennas?
An RFID antenna is a device that makes it easy for an RFID reader or RFID tag to communicate RF signals. When it comes to RFID tags, the antenna is built with the RFID tag however in the case of an RFID Reader, RFID antennas are used as a separate device in fixed readers. Integrated readers and RFID handheld readers have inbuilt antennas and don’t need to connect with an external antenna.
Based on range and need, there are near-field antennas and far-field antennae. There are also circularly polarized antennas and linearly polarized antennas based on the polarization of the antenna. You can also get RFID antennas that are designed for specific applications, for example, RFID ground antennas for race timing tracking and events, high-gain RFID antennas for warehouses, etc.
Types of RFID Tags
RFID tags are small smart devices that we attach to articles, individuals, or animals that we want to track or identify. It comes in 3 categories namely battery-powered or Active RFID tags, passive RFID tags or tags without batteries, and battery-assisted passive RFID tags (BAP) that use battery only to transmit signals at regular intervals.
a) Active RFID Tags
Active RFID tags come with a battery and are capable of transmitting RF (radio frequency) signals all the time. These offer a high read range of over 100m and strong RF signals that can overcome interference as well.
Interference here means disturbance in radio frequency, reaching from the tag to the reader. It can happen due to various reasons. Water and metal surfaces or other RF signals on the same frequency can cause interference.
UHF active RFID is used for outdoor tracking with the help of careful installation of RFID readers at various intersections. These active RFID tags can be used as beacons (always broadcasting the RF signal) or transponders (that only send signals after detecting an interrogating signal).
The main disadvantage in the case of active RFID tags is that these are heavy (due to battery) and costly. You can purchase an active RFID tag for approx 500 INR in India.
b) Passive RFID tags
Passive RFID tags are labels/hardtags/cards that do not have a power source in the form of a battery. These passive tags depend on radio frequency signals coming from the RFID reader to be activated and transmit the encoded information in the form of a radio frequency wave back to the reader.
These tags are used for identification and asset tracking in retail stores, healthcare, inventories, libraries, etc.
Since UHF passive RFID tags (also known as RAIN RFID tags) are a cost-effective, high-range (up to 15m) tracking option, these are the most popular. The RAIN RFID tag market is the biggest when it comes to RFID Tags, mostly being used in retail followed by healthcare and supply chains.
Passive RFID tags/labels cost around INR 3, going up to INR 30 for RFID hard tags. There are also some application-specific RFID tags designed for metal assets, laundry operations, etc. that cost differently. You can get an anti-metal RFID tag for approximately INR 6 in India when purchased in bulk.
c) Batter Assisted Passive (BAP) RFID tags
Battery-assisted tags mean they come with batteries but transmit signals at regular intervals to save power and last long (a few years). These types of RFID tags act as beacons, like a lighthouse, to transmit signals once in a while. You can get a BAP tag for INR 500 in India.
Types of RFID Tags based on Frequency
LF, HF and UHF RFID tags
RFID tags are also classified on the basis of frequencies they operate on.
The classification is done as follows:
1. Low Frequency
Low Frequency (LF) RFID tags work in the low-frequency range of 30 kHz-300kHz, 125kHz being typically used in this category. The read range of these tags is within a few cm. Low-frequency RFID cards are used in access control, identification, etc.
2. High Frequency
High-frequency (HF) RFID tags operate on the frequency range of 3MHz- 30MHz, 13.56 MHz being the operational frequency, the same as NFC tags. These tags offer a read range of up to 100 cm.
Various HF tags and HF RFID Cards are used in access control, room key cards, and ID cards at events, offices, etc.
4. Ultra High Frequency
UHF RFID tags operate on the frequency range of 300MHz-3GHz. In India UHF frequency range is 865-867MHz, in the USA, it is 902-928 MHz, and in Europe, it is 865-868MHz.
Passive UHF RFID tags offer a read range of up to 15m and Active UHF RFID tags can offer a read range of up to 100m. These tags are mostly used in retail, healthcare, supply chains, and manufacturing businesses for item-level tagging and inventory management.
RFID Hard Tags, Inlays, labels, and Anti Metal tags
Apart from the above-mentioned categories of RFID tags, RFID tags are also classified into the kinds of housing they come in.
If it is just an RFID chip or antenna on a film substrate, it is called RFID inlay (dry), if it has adhesive then it’s called RFID wet inlay. If an inlay is wrapped in a paper or polyester substrate, then it is called an RFID label.
When the RFID chip and the antenna are housed in a hard ABS plastic, then it’s called an RFID hard tag.
Since metal and water surfaces cause a certain degree of interference in radio frequency transmission (due to eddy currents, and intrusive magnetic field), anti-metal tags are designed to be used on metal surfaces.
All of these tags find different applications based on tag design, frequency, and functionality.
What are the applications of RFID?
Now that you know how RFID works and some basic details about RFID components, it is time to see RFID in action. Since RFID is an AIDC technology and far better than other AIDC technologies like Barcodes/ QR codes, BLE, etc., in many aspects, it is used in many businesses and industries.
I’ve written many blogs on how RFID can improve supply chain management retail operations, streamline logistics, and can be used for marketing and event management, livestock management for crowd management, ticketing and security at various Indian Pilgrimages and shrines, airports, etc., so I’ll just sum up this section with main RFID applications.
Since RFID can identify assets and auto-capture data, and it doesn’t need a clear line of sight to do so, it is very helpful in taking stock of an inventory pretty quickly. It provides employees with enough time to manage other tasks and improves efficiency.
RFID, when used in tandem with other technologies, can provide accurate information on assets and their movement even on a mobile screen.
RFID-based passports have been a great security help at immigration desks as well.
a). Item-Level Tagging and Identification
RFID is used for tagging and identifying individual items, allowing for efficient tracking and management of products at the item level.
b). Asset Tracking
RFID technology is widely used for tracking and managing assets, including equipment, tools, vehicles, and IT assets such as laptops, phones, and servers.
c). Access Control Systems
RFID is employed in access control systems for security purposes, allowing for efficient and secure entry and exit management.
d). Inventory Tracking and Cycle Counting
RFID is utilized for real-time inventory tracking, cycle counting, and improving inventory control and accuracy.
e). Retail Tracking
RFID is commonly used in retail for inventory management, supply chain visibility, and enhancing the customer shopping experience.
f). Supply Chain and Logistics Management
RFID technology plays a crucial role in supply chain and logistics management, enabling efficient tracking and tracing of goods throughout the supply chain.
g). Asset Management
RFID is employed for effective asset management, including tracking and managing various types of assets across different industries.
h). Agriculture and Smart Farming
RFID tags can be implemented in agriculture and smart farming for tracking and managing information about crops, including harvested dates, locations, and organic farming details.
i). Payment Systems
RFID is used in payment systems, such as NFC payments, and toll collection systems (India’s FASTag ETC system) for convenient and efficient transactions.
j). HealthCare
Healthcare providers utilize RFID for tracking equipment, tools, and vehicles, contributing to efficient asset management within healthcare facilities.
k). Construction Material Management
RFID is used to manage construction materials, preventing loss, and damage, and ensuring proper handling, which is crucial for project budget management.
l). IT Asset Tracking (ITAM)
RFID technology is employed for managing IT assets, including laptops, phones, printers, and servers, ensuring efficient cataloging, maintenance, and recycling of IT assets.
m). Aerospace and Defense
RFID is increasingly used in the aerospace and defense industries for tracking and managing goods within their supply chains.
n). Consumer Packaged Goods
RFID technology is utilized by consumer packaged goods companies for tracking goods within their supply chains, contributing to improved supply chain visibility.
o). Pharmaceutical Industry
RFID is employed in the pharmaceutical industry for tracking and tracing products within the supply chain, ensuring product authenticity and supply chain security.
p). Energy Production
Energy producers use active RFID systems to track large equipment, tools, and vehicles, contributing to efficient asset management within the energy sector.
q). Retail Inventory Management
RFID tags are commonly used in retail for inventory management, improving inventory control, and enhancing overall retail operations.
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r). Near-Field Communication (NFC)
RFID technology, particularly NFC, enables data exchange between devices using short-range, high-frequency wireless communication technology.
s). Entrance Guard Systems
Some entrance guard systems are based on RFID technology, using RFID tickets or cards for user identification and access control.
t). Software Applications
RFID systems are used as identification in various software applications such as visitor management systems, time and attendance management systems, etc., and software encryption is also adopted for identification purposes in certain scenarios.
Why UHF Passive RFID (RAIN RFID) is the Most Popular?
UHF Passive RFID is the most used RFID tag and there are various reasons for that. Since UHF Passive RFID tags work on the ultra-high frequency range of 860 MHz-960MHz globally, provide a read range of up to 15m and it is very cost-effective and efficient, retailers, healthcare and educational institutions, supply chain and logistics businesses predominantly use RAIN RFID Tags.
It is also used in tool tracking, machinery component tracking, workers’ safety, etc. in the manufacturing sector.
The retail sector often struggles with a lack of accurate inventory details that result in retail stock shrinkage and high losses. A Forbes report stated that shoplifting and inventory shrinkage in retail have become a 100B$ and 46.8B USD problem respectively. Under these circumstances, the use of a cost-effective, efficient RFID tagging solution becomes imminent and UHF passive RFID is just the right tool in that regard.
How RFID is a better alternative than Barcodes and BLE?
When it comes to selecting which AIDC tool should be used for identification and tracking needs, it always depends on the scale of the business operations and inventory. Though barcodes and BLE are used in various businesses, and do the job quite well, RFID offers certain advantages over these two.
Barcode system suffers from low read rates and requires a clear line of sight to function, and BLE, though cost-efficient, cannot provide the kind of visibility needed in inventory management.
RFID on the other hand is not only cost-effective but quite efficient with a high read range, and high read rate as well and it doesn’t need a clear line of sight to get the job done.
The Future of RFID Technology
According to various reports from Statista and other market research, the RFID market is growing exponentially. The increased supply chain disruptions, the pandemic, and changing customer behavior have forced many businesses to incorporate an increased degree of automation in their day-to-day business operations. Many retail businesses are quickly adopting various AIDC technologies and RFID is at the forefront. American retail giant Walmart recently asked its huge list of suppliers to start tagging supply boxes with RFID to remove human errors and streamline inventory control.
According to verified market research, the RFID global market is projected to reach USD 23.47B by 2030, growing at a CAGR of 9.97%, between 2022 and 2030, and Retail and Logistics have been the leaders in RFID implementation.
Industry 4.0 is all about leveraging technology to increase automation and enhance productivity and customer experience and I, believe that RFID can be an important factor in this.
Security and Privacy Concerns of RFID Technology
It is a no-brainer to conclude that technology has completely reformed many businesses and the use of RFID in retail, supply chain, and manufacturing has done a tremendous job. But as businesses try to incorporate more automation to improve business processes and enhance customer experience, people are also conscious of how their personal data is being used. Managing Privacy concerns and individual safety with increasing use of technology has been the biggest dilemma of this decade.
Due to the lack of clear data privacy laws in various countries and the lack of regulations in data collection and use, many people are worried about using some technologies, and rightly so.
In 2003, the Italian clothing manufacturing brand Benetton tried to implement women's garments with RFID tags but later dropped it due to huge protests by RFID privacy activists, led by a Harvard scholar Katherine Albrecht who wrote an interesting book titled ‘spychips’ on the same issues.
Though there are privacy concerns regarding the use of RFID tags in day-to-day products, with clear guidelines and regulations, these concerns can be addressed as well and RFID can be the change it is meant to be, for many businesses.
Where to Purchase RFID Tags and RFID Readers in India?
Now that you know most of the things that you need to know about RFID and if you’re thinking of implementing an RFID system at your workplace, the main concern is where you can get authentic and reliable supplies.
There are various RFID tags, RFID readers, and antenna suppliers and manufacturers in India and abroad and you can find them online pretty easily, I suggest you consider EnCstore. We have a wide range of UHF RFID tags, Readers, and RFID antennae to cover your varied needs and you get a reliable, experienced supplier. Our team of RFID experts can guide you on implementation as well.
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